At least five local and foreign insurers, including three Moroccan groups, have shown interest in acquiring a stake of up to 35% in Tunisian insurer AMI Assurances, said media reports.
Among the two Tunisian companies said to be interested in the stake are Groupe des Assurances de Tunisie (GAT) and CARTE Assurances. The Moroccan parties include Atlanta Insurance which is a subsidiary of the Holmarcom conglomerate, Saham Insurance and Wafa Assurance, the reports said.
Bids from the interested parties were reportedly being submitted in early December. The highest scores will go to the party which presents the best development plan for AMI and which has the best international experience in the insurance industry and the best financial strength.
National Agricultural Bank, which owns a stake of 26% in AMI, said that it intends to keep its holding that would allow it to create the necessary synergies with the insurer. Another shareholder, the HBG group (Hédi Bouchammaoui Group), does not plan either to sell its 23% share.
AMI Assurances, which started operations in 2003, was founded by the Tunisian General Union of Labour to provide non-life insurance to members, following the liquidation of El Ittihad, an insurance and reinsurance cooperative.
In 2014, AMI Assurances changed its status from an insurance mutual to that of a limited company, so as to strengthen its capital base. Shareholders approved a restructuring programme which included looking for a strategic partner which could strengthen the competitive position of AMI.
In October last year, shareholders at an extraordinary general meeting approved an increase of TND5.3 million (US$2.3 million) in the company's capital to TND18.5 million through the issue of new shares. The increase was decided following an audit which revealed that the company's technical and financial reserves were inadequate.
AMI announced a net profit of TND12.0 million in 2015, an increase of 108% compared to 2014. The insurer ranks as the fourth largest in Tunisia.
TND1= US$0.43